Audi has warned that a potential U.S. tariff increase on European car imports could have a “significant” impact on its business as it prepares to launch its largest SUV in the American market this summer. The proposed 25% tariff, threatened by U.S. President Donald Trump, would particularly affect models like the Audi Q9, which is produced in Slovakia and exported to the U.S. The company currently relies heavily on imports from Europe and Mexico, as it has no production facility in the United States.

Audi’s finance chief said the company is still assessing the situation but acknowledged that the tariffs would place a heavy burden on operations. He added that Audi, along with parent company Volkswagen, is exploring options to establish manufacturing in the U.S., though such a move would likely require government support such as subsidies or tariff relief to be viable.

The automaker reiterated its 2026 profit outlook, which does not factor in any additional tariff increases beyond the current 15% duty already in place, costing the Volkswagen Group around €4 billion annually. Meanwhile, the company continues its cost-cutting efforts, including plans to reduce around 7,500 jobs by 2029, as it faces mounting pressure from tariffs and strong competition from Chinese automakers.

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